Interim Report 2005 - Clear Media

14 NOTES TO CONDENSED CONSOLIDATED
FINANCIAL STATEMENTS
1. Accountant Policies (continued)
1.2 Effect of adopting new HKASs and HKFRS (continued)
The adoption of new and/or revised HKASs 1, 7, 8, 10, 16, 21, 23, 24, 27,
31, 32, 33, 36, 39 and HKAS-Int 29 did not result in substantial changes to
the Group’s accounting policies. In summary:
— HKAS 1 has affected the presentation of minority interest, share of net
after-tax results of associates and other disclosures.
— HKASs 7, 8, 10, 16, 21, 23, 24, 27, 31, 33, 36 and HKAS-Int 29 had
no material effect on the Group’s policies.
— HKAS 21 had no material effect on the Group’s accounting policies.
The functional currency of each of the consolidated entities has been
re-evaluated based on the guidance to the revised standard. All the
Group entities have the same functional currency as the presentation
currency for respective entity financial statements.
— HKAS 24 has affected the identification of related parties and some
other related-party disclosures.
— The adoption of HKASs 32 and 39 has resulted in a change in the
accounting policy relating to the initial recognition and classification of
convertible bonds.
— The adoption of HKFRS 2 has resulted in a change in the accounting
policy for share-based payments. Until 31 December 2004, the
provision of share options to employees did not result in an expense
in the income statements. Effective on 1 January 2005, the Group
expenses the cost of share options in the income statement. As a
transitional provision, the cost of share options granted after 7
November 2002 and had not yet vested on 1 January 2005 was
expensed retrospectively in the income statement of the respective
periods.